GTx Announces Reduction in Workforce (NASDAQ:GTXI)

GTx, Inc (NASDAQ:GTXI) has announced that they will be reducing their workforce due to delay in the potential commercialization of toremifene 80 mg that reduces fractures in men with prostrate cancer on androgen deprivation therapy (ADT). The Company is headquartered in Memphis and is an upcoming biopharmaceutical company which is dedicated to the discovery, development and commercialization of small molecules that selectively target hormone pathways to prevent and treat cancer, fractures and bone loss and other serious medical situations. In the current scenario, GTx was making attempts for the marketing approval of toremifene 80 mg in the United States that reduce fractures in men with prostrate cancer, but so far they have not been able to do so.

@@AdsenseRight@@ In October 2009, GTx received a Complete Response Letter from the United States Food and Drug Administration regarding its NDA for toremifene 80 mg. GTx has licensed to Ipsen Developments Limited exclusive rights to develop and commercialize in the European Union, Switzerland, Norway, Iceland, Lichtenstein, and the Commonwealth of Independent States. The Company has also undergone an agreement with Merck for the development of new class of drugs. However, so far the FDA has not responded and GTx sales were affected badly because of the delay. The Company has decided to reduce around 28 percent of their current workforce immediately. However, employees who have been affected by this situation will continue to receive severance pay and medical benefits. CEO of GTx, Dr. Mitchell Steiner said that it was the delay in the commercialization of toremifene 80 mg that has forced them to take such odd decisions and that they appreciate the contributions of each and every employee.